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Case Study: Cost Savings

The Challenge:

When a standing customer was presented with an opportunity to win a major government contract, they contacted Action with a long detailed list of requirements as part of the items needed to be consolidated and kitted for the final production line.

The 100+ parts would require the manufacturer an estimated 150 man-hours in purchasing labor and material acquisition. These added labor hours would push the cost structure beyond an acceptable rate and make their bid non-competitive resulting in a lost opportunity.

The Solution:

Rather than stand down on the bid, they reduced cost exposure by contacting Action. They created just one bill of material to Action and the cost to acquire the 100+ parts was reduced by the cost of 150 man-hours.

The real cost of a partAction’s support to success in helping the customer
win the contract:

    • All product sourcing
    • Purchasing of goods from over 45 separate suppliers
    • Ensuring they get the best value
    • Expediting and follow up
    • Receiving cost and labor
    • Incoming inspection including product QA
    • All waste removal
    • Consolidation and kitting
    • Seamless final delivery

More case studies:
Case Study: Service
Case Study: Speed of Service
Case Study: Inventory

 

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Case Study: Inventory | Action Integrated Supply Chain Solutions, September 17th, 2014 on 10:18 am

[…] More case studies: Case Study: Service Case Study: Speed of Service Case Study: Cost Savings […]

Case Study: Service | Action Integrated Supply Chain Solutions, September 17th, 2014 on 10:19 am

[…] case studies: Case Study: Speed of Service Case Study: Cost Savings Case Study: […]